SALESFORCE INC (CRM) Stock Fundamental Analysis

USA New York Stock Exchange NYSE:CRM • US79466L3024

194.03 USD
+2.68 (+1.4%)
At close: Feb 9, 2026
187.5 USD
-6.53 (-3.37%)
Pre-Market: 2/10/2026, 7:35:42 AM
Fundamental Rating

7

CRM gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 277 industry peers in the Software industry. CRM has an excellent profitability rating, but there are some minor concerns on its financial health. CRM is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make CRM a good candidate for value investing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • CRM had positive earnings in the past year.
  • CRM had a positive operating cash flow in the past year.
  • CRM had positive earnings in each of the past 5 years.
  • CRM had a positive operating cash flow in each of the past 5 years.
CRM Yearly Net Income VS EBIT VS OCF VS FCFCRM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B 10B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 7.59%, CRM is in the better half of the industry, outperforming 79.06% of the companies in the same industry.
  • CRM's Return On Equity of 12.03% is fine compared to the rest of the industry. CRM outperforms 75.81% of its industry peers.
  • CRM's Return On Invested Capital of 10.05% is amongst the best of the industry. CRM outperforms 84.84% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for CRM is significantly below the industry average of 10.91%.
  • The 3 year average ROIC (5.83%) for CRM is below the current ROIC(10.05%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 7.59%
ROE 12.03%
ROIC 10.05%
ROA(3y)3.46%
ROA(5y)3.61%
ROE(3y)5.81%
ROE(5y)5.94%
ROIC(3y)5.83%
ROIC(5y)3.79%
CRM Yearly ROA, ROE, ROICCRM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2 4 6 8 10

1.3 Margins

  • Looking at the Profit Margin, with a value of 17.91%, CRM belongs to the top of the industry, outperforming 80.87% of the companies in the same industry.
  • CRM's Profit Margin has improved in the last couple of years.
  • Looking at the Operating Margin, with a value of 22.03%, CRM belongs to the top of the industry, outperforming 88.09% of the companies in the same industry.
  • In the last couple of years the Operating Margin of CRM has grown nicely.
  • Looking at the Gross Margin, with a value of 77.73%, CRM is in the better half of the industry, outperforming 74.73% of the companies in the same industry.
  • In the last couple of years the Gross Margin of CRM has remained more or less at the same level.
Industry RankSector Rank
OM 22.03%
PM (TTM) 17.91%
GM 77.73%
OM growth 3Y107.25%
OM growth 5Y49.51%
PM growth 3Y44.23%
PM growth 5Y85.88%
GM growth 3Y1.66%
GM growth 5Y0.52%
CRM Yearly Profit, Operating, Gross MarginsCRM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60

6

2. Health

2.1 Basic Checks

  • CRM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • Compared to 1 year ago, CRM has less shares outstanding
  • CRM has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, CRM has an improved debt to assets ratio.
CRM Yearly Shares OutstandingCRM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M
CRM Yearly Total Debt VS Total AssetsCRM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B 100B

2.2 Solvency

  • An Altman-Z score of 4.19 indicates that CRM is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of CRM (4.19) is better than 72.92% of its industry peers.
  • The Debt to FCF ratio of CRM is 0.65, which is an excellent value as it means it would take CRM, only 0.65 years of fcf income to pay off all of its debts.
  • CRM's Debt to FCF ratio of 0.65 is fine compared to the rest of the industry. CRM outperforms 77.26% of its industry peers.
  • A Debt/Equity ratio of 0.14 indicates that CRM is not too dependend on debt financing.
  • The Debt to Equity ratio of CRM (0.14) is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.14
Debt/FCF 0.65
Altman-Z 4.19
ROIC/WACC0.91
WACC11.01%
CRM Yearly LT Debt VS Equity VS FCFCRM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B

2.3 Liquidity

  • CRM has a Current Ratio of 0.98. This is a bad value and indicates that CRM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • With a Current ratio value of 0.98, CRM is not doing good in the industry: 75.45% of the companies in the same industry are doing better.
  • CRM has a Quick Ratio of 0.98. This is a bad value and indicates that CRM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • With a Quick ratio value of 0.98, CRM is not doing good in the industry: 74.37% of the companies in the same industry are doing better.
  • CRM does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 0.98
Quick Ratio 0.98
CRM Yearly Current Assets VS Current LiabilitesCRM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 18.76% over the past year.
  • The Earnings Per Share has been growing by 27.71% on average over the past years. This is a very strong growth
  • Looking at the last year, CRM shows a quite strong growth in Revenue. The Revenue has grown by 8.41% in the last year.
  • The Revenue has been growing by 17.25% on average over the past years. This is quite good.
EPS 1Y (TTM)18.76%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%34.85%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%8.63%

3.2 Future

  • The Earnings Per Share is expected to grow by 14.75% on average over the next years. This is quite good.
  • Based on estimates for the next years, CRM will show a quite strong growth in Revenue. The Revenue will grow by 9.51% on average per year.
EPS Next Y16.58%
EPS Next 2Y14.07%
EPS Next 3Y13.96%
EPS Next 5Y14.75%
Revenue Next Year9.34%
Revenue Next 2Y10.17%
Revenue Next 3Y9.88%
Revenue Next 5Y9.51%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
CRM Yearly Revenue VS EstimatesCRM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B 80B
CRM Yearly EPS VS EstimatesCRM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10 20 30

7

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 16.84 indicates a correct valuation of CRM.
  • Based on the Price/Earnings ratio, CRM is valued a bit cheaper than 76.90% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of CRM to the average of the S&P500 Index (28.06), we can say CRM is valued slightly cheaper.
  • CRM is valuated correctly with a Price/Forward Earnings ratio of 14.63.
  • CRM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. CRM is cheaper than 78.34% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.86, CRM is valued a bit cheaper.
Industry RankSector Rank
PE 16.84
Fwd PE 14.63
CRM Price Earnings VS Forward Price EarningsCRM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, CRM is valued cheaply inside the industry as 81.59% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, CRM is valued cheaply inside the industry as 83.39% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 14.32
EV/EBITDA 14.63
CRM Per share dataCRM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60

4.3 Compensation for Growth

  • CRM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The excellent profitability rating of CRM may justify a higher PE ratio.
  • A more expensive valuation may be justified as CRM's earnings are expected to grow with 13.96% in the coming years.
PEG (NY)1.02
PEG (5Y)0.61
EPS Next 2Y14.07%
EPS Next 3Y13.96%

3

5. Dividend

5.1 Amount

  • With a yearly dividend of 0.88%, CRM is not a good candidate for dividend investing.
  • The stock price of CRM dropped by -20.37% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
  • CRM's Dividend Yield is rather good when compared to the industry average which is at 0.61. CRM pays more dividend than 90.61% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.80, CRM's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.88%

5.2 History

  • CRM is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
CRM Yearly Dividends per shareCRM Yearly Dividends per shareYearly Dividends per share 2024 2025 0.5 1 1.5

5.3 Sustainability

  • CRM pays out 21.86% of its income as dividend. This is a sustainable payout ratio.
DP21.86%
EPS Next 2Y14.07%
EPS Next 3Y13.96%
CRM Yearly Income VS Free CF VS DividendCRM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B 10B
CRM Dividend Payout.CRM Dividend Payout, showing the Payout Ratio.CRM Dividend Payout.PayoutRetained Earnings

SALESFORCE INC

NYSE:CRM (2/9/2026, 9:53:09 PM)

Premarket: 187.5 -6.53 (-3.37%)

194.03

+2.68 (+1.4%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-03
Earnings (Next)02-26
Inst Owners84.48%
Inst Owner Change-2.87%
Ins Owners2.57%
Ins Owner Change0.18%
Market Cap184.72B
Revenue(TTM)40.32B
Net Income(TTM)7.22B
Analysts79.66
Price Target330.06 (70.11%)
Short Float %1.96%
Short Ratio2.08
Dividend
Industry RankSector Rank
Dividend Yield 0.88%
Yearly Dividend1.59
Dividend Growth(5Y)N/A
DP21.86%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.16%
Min EPS beat(2)3.73%
Max EPS beat(2)12.58%
EPS beat(4)4
Avg EPS beat(4)5.55%
Min EPS beat(4)0.37%
Max EPS beat(4)12.58%
EPS beat(8)7
Avg EPS beat(8)3.66%
EPS beat(12)11
Avg EPS beat(12)5.61%
EPS beat(16)15
Avg EPS beat(16)7.06%
Revenue beat(2)0
Avg Revenue beat(2)-0.56%
Min Revenue beat(2)-1.12%
Max Revenue beat(2)0%
Revenue beat(4)0
Avg Revenue beat(4)-0.68%
Min Revenue beat(4)-1.42%
Max Revenue beat(4)0%
Revenue beat(8)1
Avg Revenue beat(8)-0.55%
Revenue beat(12)2
Avg Revenue beat(12)-0.14%
Revenue beat(16)3
Avg Revenue beat(16)-0.22%
PT rev (1m)-0.65%
PT rev (3m)-1.78%
EPS NQ rev (1m)-0.02%
EPS NQ rev (3m)0.2%
EPS NY rev (1m)0%
EPS NY rev (3m)3.4%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)2.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.58%
Valuation
Industry RankSector Rank
PE 16.84
Fwd PE 14.63
P/S 4.58
P/FCF 14.32
P/OCF 13.68
P/B 3.08
P/tB 45.35
EV/EBITDA 14.63
EPS(TTM)11.52
EY5.94%
EPS(NY)13.26
Fwd EY6.83%
FCF(TTM)13.55
FCFY6.98%
OCF(TTM)14.18
OCFY7.31%
SpS42.35
BVpS63.05
TBVpS4.28
PEG (NY)1.02
PEG (5Y)0.61
Graham Number127.84
Profitability
Industry RankSector Rank
ROA 7.59%
ROE 12.03%
ROCE 12.04%
ROIC 10.05%
ROICexc 11.87%
ROICexgc 114.64%
OM 22.03%
PM (TTM) 17.91%
GM 77.73%
FCFM 31.98%
ROA(3y)3.46%
ROA(5y)3.61%
ROE(3y)5.81%
ROE(5y)5.94%
ROIC(3y)5.83%
ROIC(5y)3.79%
ROICexc(3y)7.18%
ROICexc(5y)4.68%
ROICexgc(3y)84.54%
ROICexgc(5y)53.64%
ROCE(3y)6.99%
ROCE(5y)4.55%
ROICexgc growth 3Y144.43%
ROICexgc growth 5Y51.1%
ROICexc growth 3Y136.01%
ROICexc growth 5Y54.45%
OM growth 3Y107.25%
OM growth 5Y49.51%
PM growth 3Y44.23%
PM growth 5Y85.88%
GM growth 3Y1.66%
GM growth 5Y0.52%
F-Score8
Asset Turnover0.42
Health
Industry RankSector Rank
Debt/Equity 0.14
Debt/FCF 0.65
Debt/EBITDA 0.69
Cap/Depr 17.92%
Cap/Sales 1.51%
Interest Coverage 38.61
Cash Conversion 110.06%
Profit Quality 178.55%
Current Ratio 0.98
Quick Ratio 0.98
Altman-Z 4.19
F-Score8
WACC11.01%
ROIC/WACC0.91
Cap/Depr(3y)19.53%
Cap/Depr(5y)21.06%
Cap/Sales(3y)2.13%
Cap/Sales(5y)2.49%
Profit Quality(3y)1155.13%
Profit Quality(5y)786.34%
High Growth Momentum
Growth
EPS 1Y (TTM)18.76%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%34.85%
EPS Next Y16.58%
EPS Next 2Y14.07%
EPS Next 3Y13.96%
EPS Next 5Y14.75%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%8.63%
Revenue Next Year9.34%
Revenue Next 2Y10.17%
Revenue Next 3Y9.88%
Revenue Next 5Y9.51%
EBIT growth 1Y20.93%
EBIT growth 3Y133.52%
EBIT growth 5Y75.31%
EBIT Next Year40.83%
EBIT Next 3Y19.57%
EBIT Next 5Y14.79%
FCF growth 1Y46.33%
FCF growth 3Y33.02%
FCF growth 5Y27.52%
OCF growth 1Y40.37%
OCF growth 3Y29.7%
OCF growth 5Y24.76%

SALESFORCE INC / CRM FAQ

What is the ChartMill fundamental rating of SALESFORCE INC (CRM) stock?

ChartMill assigns a fundamental rating of 7 / 10 to CRM.


What is the valuation status for CRM stock?

ChartMill assigns a valuation rating of 7 / 10 to SALESFORCE INC (CRM). This can be considered as Undervalued.


Can you provide the profitability details for SALESFORCE INC?

SALESFORCE INC (CRM) has a profitability rating of 8 / 10.


What is the valuation of SALESFORCE INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for SALESFORCE INC (CRM) is 16.84 and the Price/Book (PB) ratio is 3.08.


How financially healthy is SALESFORCE INC?

The financial health rating of SALESFORCE INC (CRM) is 6 / 10.